DDR Completes $169 Million of Strategic Transactions in the Third Quarter of 2011

BEACHWOOD, OH /PRNewswire/ --DDR Corp. (NYSE: DDR)  announced that it has acquired three prime shopping centers for $110 million and disposed of $59 million of non-prime assets in the third quarter.

 DDR continues to successfully recycle capital from asset sales into the acquisition of prime shopping centers, and has completed $150 million of acquisitions and $166 million of dispositions year to date.

 Consistent with previously announced acquisitions, all three third quarter additions have a demographic profile and projected compounded annual growth rate that will enhance the existing DDR prime portfolio metrics and continue to improve overall company asset quality.

DDR acquired two prime assets in Charlotte, North Carolina, Cotswold Village (top left photo) and The Terraces at SouthPark (middle right photo), for $85 million and one prime asset, Chapel Hills East (middle left photo), in Colorado Springs, Colorado for $25 million.

The assets total 500,000 square feet of gross leasable area and range between 96% and 100% leased.

In addition, the assets are occupied by many high quality retailers typically found in DDR shopping centers including Whole Foods, Marshalls, PetSmart, Best Buy, Harris Teeter, ULTA, Old Navy, and DSW.

 With the inclusion of the recently acquired assets, DDR expanded its presence in the Charlotte trade area to nine prime assets representing 2.2 million square feet and the Denver trade area to nine prime assets representing 2.8 million square feet.

In connection with these acquisitions, DDR assumed three existing mortgage loans as follows:

• Cotswold Village - $50.8 million at 5.83%, maturing in 2016
• The Terraces at SouthPark - $6.6 million at 5.72%, maturing in 2012

• Chapel Hills East - $9.6 million at 5.24%, maturing 2021
• As previously announced in the third quarter, and further enhancing the Company's portfolio, DDR is also under contract to acquire Polaris Towne Center (lower right photo) in Columbus, Ohio, for $80 million.
• Polaris is a 700,000 square foot prime asset anchored by Target, Lowe's, Kroger, Best Buy, and TJ Maxx. It is anticipated that this transaction will close in the fourth quarter of 2011.

 The Company disposed of ten non-prime assets and seven land parcels during the quarter for aggregate proceeds of approximately $59 million, all of which was the Company's share.

 An additional $209 million of assets are currently under contract for sale, of which the Company's share is $196 million.

Year to date, the Company has generated gross proceeds of $214 million from asset sales, of which the Company's share is $166 million. Since 2007, DDR has completed $2.3 billion of dispositions of primarily non-prime assets.

Daniel B. Hurwitz (top right photo), president and chief executive officer of DDR, commented, "We are pleased with the continued execution of our capital recycling strategy and are very confident that these prime acquisitions will enhance our compounded annual growth rate and net asset value.

“Our successful strategy of funding acquisitions with disposition proceeds will continue and obviates the need to access common equity to support portfolio enhancement initiatives."

Additional information about the company is available at www.ddr.com.

CONTACT: Marty Richmond, Vice President, Marketing and Corporate Communications, +1-216-755-5500, or Samir Khanal, Senior Director of Investor Relations, +1-216-755-5500

Web Site: http://www.ddr.com/

Edens & Avant Purchases Union Planters Plaza Center located in one of Broward County's most vibrant retail corridors in South Florida

 FORT LAUDERDALE, FL  /PRNewswire/ -- Edens & Avant, one of the nation's leading retail real estate owners and developers, announced today that it has purchased Union Planters Plaza (top left photo), a 155,000 SF Whole Foods anchored retail center in Fort Lauderdale, Florida.

Located in one of Broward County's most active regional corridors, Union Planters Plaza was originally built in 1989 and expanded in 2000 and sits on a total of 14.6 acres. Union Planters Plaza is the 25th retail center owned by Edens & Avant in the Florida market, including 12 centers in South Florida.

"With its close proximity to both downtown Fort Lauderdale as well as being adjacent to some of the area's most established neighborhoods, Union Planters Plaza fits perfectly into our portfolio of community focused retail centers located in major urban markets," said Jami Passer (middle right photo), Managing Director, Edens & Avant.

"This is a great retail destination and it has played an important part in the lives of Fort Lauderdale residents as well as being a local landmark for those visiting the region. We are extremely pleased to add this property to our growing South Florida portfolio and continue to enhance it through a community oriented merchandising mix and adding several intimate spaces for neighbors to reconnect." 

Union Planters Plaza will soon welcome Dick's Sporting Goods as a co-anchor, with a scheduled opening in late November. Follow Union Planters Plaza on Facebook at www.facebook.com/unionplantersplaza or on Twitter @UPlantersPlaza.

 For additional information about the Company and its retail real estate portfolio, please visit http://www.edensandavant.com/. 

Or follow on Twitter @EdensandAvant.

CONTACT: Robbie Robertson, Communications Director, +1-803-744-2446, rrobertson@edensandavant.com

Web Site: http://www.edensandavant.com/

Marcus & Millichap Capital Corp. Finances Six-Unit Apartment Building in Brooklyn’s Carroll Gardens

BROOKLYN, NY – Marcus & Millichap Capital Corporation (MMCC) has arranged the financing for 592 Henry Street (top left photo), a six unit apartment building with a New Jersey based bank.

Sean Mooney, Associate Director of the firm’s Manhattan office had prepared the financing.

The loan amount was $924,000 and the transaction closed in 65 days. The cash out proceeds are being used by the owner to take advantage of other investment opportunities in the market. 

The interest rate is fixed at 4.50 percent for a period of five-years with a five-year option to renew. The prepayment penalty is declining and the owner has the ability to refinance with no penalty in the last 90 days of the loan. The amortization is 30-years and the loan is non-recourse.

Press Contact: J.D. Parker, Vice President - Regional Manager, Manhattan

(212) 430-5100

Marcus & Millichap Capital Corp. Finances 17-Unit, Mixed-Use Apartment Building in Prospect Heights, Brooklyn, NY

 BROOKLYN, NY – Marcus & Millichap Capital Corporation (MMCC) has arranged the financing for this 17 unit mixed-use apartment building (bottom left photo) located on Franklin Avenue in Brooklyn, New York.

Sean Mooney (top right photo) Associate Director of the firms Manhattan office, had prepared the financing for this building. 

The note on the subject property was sold from Capital One Bank to an opportunistic investor who was attempting to foreclose on asset.  The property was ½ vacant due to a fire and the insurance proceeds were not enough to cover reconstruction.

The loan amount was $900,000 and proceeds were used to pay off the current note holder and finish construction. This transaction was challenging due to the vacancy, fire damage and foreclosure action. Sean Mooney worked closely with the borrower’s attorney to expedite the financing.

The property was financed by a local New York City bank on a three-year term at a 5.5 percent rate. The loan is full recourse and based on a 25-year amortization.

Press Contact: J.D. Parker, Vice President - Regional Manager, Manhattan

(212) 430-5100

David Luther Promoted to National Director of Marcus & Millichap’s National Hospitality Group

 HOUSTON, TX – Marcus & Millichap Real Estate Investment Services, the nation’s largest real estate investment services firm, has named David Luther (top right photo) national director of the firm’s National Hospitality Group (NHG) and regional manager of the firm’s Houston office, according to John J. Kerin (bottom right photo), president and chief executive officer.

 Luther will also continue to manage Marcus & Millichap’s office in Fort Worth, Texas, a position he has held since October 2009. 

“David’s exceptional managerial skills and his track record as a highly successful sales professional make him a tremendous asset for our Houston-area clients and a great resource for our agents,” says Kerin. “He has extensive knowledge of the national hospitality market and will take a leading role in providing client services to hospitality investors nationwide.”

“The Houston office has made Marcus & Millichap the dominant force in the Texas mid-market hotel investment sales market,” says Luther.

“I look forward to delivering our dynamic and effective services for the acquisition and disposition of investment properties to investors nationwide and to providing leadership and support to all of our agents in Houston.”        

Luther began his career with Marcus & Millichap as a multifamily commercial property investment specialist in the firm’s Fort Lauderdale office in 2001. He earned the firm’s prestigious National Achievement Award (NAA) Chairman’s Club award in 2005, was honored as the featured speaker at Marcus & Millichap’s 2006 East Coast/Midwest Sales Meeting and was inducted as a senior investment associate in July 2007.

 Luther became a vice president investments in January 2008. He is a five-time NAA recipient, a former director of Marcus & Millichap’s National Multi Housing Group and has been the firm’s research manager for South Florida.

Luther is a graduate of Southern Methodist University with degrees in real estate finance and mathematics.

 Contact: Stacey Corso, Public Relations Manager, (925) 953-1716

Colliers International Completes a 45,560-SF Industrial Sale for $4.055 Million in Brea, CA

BREA, CA. – Colliers International, the second largest global real estate services organization, has completed the sale of a 45,560-square-feet industrial property located at 1425 Moonstone Street, Brea Calif. The transaction is valued at $4.055 million.

 Ian Britton (top right photo), Senior Vice President, and John Long (middle left photo), Associate, both based in Colliers’ Orange County office along with Tom Dorman of CBRE represented the Seller, PSIP CAM Brea LLC, an affiliate entity of Los Angeles-based Cohen Asset Management, Inc..

 The Buyer,Harmony Properties, LLC, was represented by Luke Hudson of Lee & Associates in Orange.

 “Attractive SBA financing, strong user demand and a lack of quality inventory available for sale has contributed to the overall success of the project,” said Britton.  “Brea has the unique ability to draw industrial users from North Orange County, Mid Counties as well as the City of Industry.”

 This sale marks the 3rd transaction completed this year within the newly branded “Brea Canyon Commerce Center”, a six (6) building project recently purchased by Cohen Asset Management’s affiliate. 

The properties range in size from 19,779 SF to 70,492 SF and were previously owned and occupied by Simpson Manufacturing.  The ownership has reconditioned the buildings and recently adjusted the lot lines to create large fenced yard areas for industrial users. 

Other upgrades include new modern landscape, new exterior and interior paint, resurfaced parking areas, modern architectural treatments and new office fixtures.  The buildings have appeal to a wide range of industrial users due to the attractive M2 zoning, heavy power, functional loading and business park setting.

  

 Follow us at www.twitter.com/colliersgla.

Contact:

Angela S. Hwang

Regional Marketing Coordinator | Greater Los Angeles

Dir +1 213 532 3258 | Mob +1 310 867 4105

Main +1 213 627 1214 | Fax +1 213 327 3258

angela.hwang@colliers.com

Colliers International

865 S Figueroa St., Suite 3500 | Los Angeles, CA 90017 | USA

www.colliers.com

$6.6 Million Loan Arranged by Mark One Capital in Hollister, CA

HOLLISTER, CA – Mark One Capital, a subsidiary of Marcus & Millichap Capital Corporation (MMCC), has arranged $6,600,000 in refinancing for a 235-pad manufactured housing property in Hollister.

David Campbell, a commercial loan associate in the firm’s Palo Alto office, arranged the loan.

“The transaction was a cash-out refinance to facilitate the purchase of another property,” says Campbell. “The complicated ownership structure, lack of documentation and ongoing required improvements at the property required multiple waivers.”

“Mark One Capital’s long-term relationship with the lender helped us work through the hurdles in a timely manner,” adds Campbell. “Our clients were pleased to obtain an interest rate that is approximately 1 percent lower than rates offered by other lenders at the time.”

The 10-year loan is amortized over 25 years with a fixed interest rate of 4.55 percent.

“Owners with equity to utilize continue to take advantage of buying opportunities,” Campbell concludes.

Contact: Stacey Corso, Public Relations Manager, (925) 953-1716

www.mmCapCorp.com

Newport Marina Apartments in California Commands $14.85 Million

NEWPORT BEACH, CA – Institutional Property Advisors (IPA), a recently formed multifamily brokerage division of Marcus & Millichap serving the needs of institutional and major private investors, has arranged the sale of The Newport Marina Apartments (top left photo), a 64-unit apartment complex in Newport Beach. The sales price of $14,850,000 represents $232,031 per unit.

 Stewart I. Weston (middle right photo), a senior vice president investments of IPA, represented the seller, Newport Marina LLC, in this transaction. Weston also represented the buyer, Newport Waterfront Apartments LLC, which is managed by a Los Angeles-based investment group.   

Newport Marina apartments is Located at 919 Bayside Drive in Newport Beach.  Constructed in 1964, the property is situated on 4.09 acres of waterfront land with expansive bay views with nearly 1,100 feet of water frontage on Newport Harbor and Promontory Channel.

The low-density project includes 64 large, condominium-style residences within 14 buildings surrounded by coral trees and lush landscaping, a private beach and boat slips that can accommodate up to 34 boats.

“The building was sold subject to a favorable ground lease on an exceptional bay front property,” says Weston.  “Properties like this don’t come around that often.

 “The ground lease does not expire for another 32 years, giving the new owner ample time to enjoy his piece of paradise.

"Over the long term, the rents at Newport Marina will continue to out grow other prime markets, which should provide the owner with an above market yield; especially because of its waterfront location on one of the world’s most desirable harbors, a lack of comparable bay front multifamily properties and the high barriers to entry in this Orange County submarket,” he adds.

Contact: Stacey Corso, Public Relations Manager, (925) 953-1716

Brooklyn, NY Hospital Building Offered at $18 Million

  

 BROOKLYN, NY – Marcus & Millichap Real Estate Investment Services, the nation’s largest real estate investment services firm, has retained the exclusive listing for St. Mary’s Hospital (top left photo), a seven-story, 304,763-square foot, full-block-front building in Brooklyn. The listing price of $18 million represents $59 per square foot.

 Barry Kimchy, an associate vice president investments in the firm’s Manhattan office, is representing the seller, a local investment group.

 “St. Mary’s Hospital is being offered significantly below replacement cost, which makes it extremely attractive as a hospital or as a redevelopment project,” says Kimchy. “The building can be repositioned for use as a multifamily property, as student housing or as an assisted-living facility.”

The property is located at 170 Buffalo Ave. in Brooklyn’s Prospect Heights/North Crown Heights area.

St. Mary’s was constructed in 1979 with state-of-the-art utilities, including HVAC and an electric self-generator. The property features four sidelights on the above-grade floors, four large passenger elevators and one freight elevator.

The building measures 239 feet by 155 feet, which yields approximately 205,139-square feet above grade plus a 96,552-square foot basement and two sub-basements. The site features a 225-foot by 192-foot garden, which contains additional air rights and could be converted into a parking lot and a 48-foot by 64-foot, 3,072-square foot freestanding building that was used as an ambulance garage. 

St. Mary’s will be delivered vacant with approximately 42,000 square feet of additional air rights.

Contact: Stacey Corso, Public Relations Manager, (925) 953-1716